SIMILAR ARTICLES

National gross minimum wage: in Romania and EU countries

  Romania ranks second to last among EU states in terms of national gross minimum wage, according to data published by Eurostat, at a level… Mai mult

Some charts: Perfect chaos in Romanian budgets. A 4-year analysis of difference between law and implementation

Although at first glance it is difficult to draft them, Romania’s public budgets are, in fact, a series of indicators and lists of revenues and… Mai mult

Tax authority’s “armed arm” was handed over to Prognosis Commission. How strongest governmental structure looks?

ANAF’s new president, Mihaela Triculescu, handed over to the National Commission for Strategy and Prognosis – CNSP the power to decide what companies are to… Mai mult

Current account deficit – Romania goes to opposite direction compared to EU countries

Romania is clearly distinguishing itself within the EU in terms of current account deficit evolution, with the second highest current account deficit in 2017 and… Mai mult

Legislative Council had already pulled “Ordinance on greed” to pieces even before its adoption: You create bases of a centralized economy and exempt yourself from fiscal-budgetary responsibility

  The opinion issued in December by the Legislative Council on Ordinance 114 (which establishes, among other things, the “tax on greed”) contains no less… Mai mult

Cronicile
Banca Transilvania campanie aniversara 25 ani

National specific: Not rural area, but small towns and suburbs have lowest employment rate

de Marin Pana , 24.9.2018

The degree of urbanisation classification based on the European methodology (LAU 2 level or Local Administrative Units, formerly NUTS 5) is made in urban centres (large cities), cities and suburbs (small towns and adjacent areas to major cities) and rural areas, based on the principle of population density on squares of 1 km.

Basically, there are densely populated areas, intermediately populated areas and sparsely populated areas.

We have urban centres (at least 50% of the population live in an urban centre, cities and suburbs) – less than 50% live in an urban centre but over 50% in an urban agglomeration and rural areas – more than 50% of the population lives in sparsely populated areas.

Each urban centre must cover at least 75% of the population of a city. This approach ensures that all urban centres are represented by at least one city, even though this urban centre accounts for less than 50% of the population of an LAU 2 administrative unit. Simply put, urban centres along with cities and suburbs can be aggregated in urban areas and the rest, in rural areas.

These methodological explanations are absolutely necessary to correctly perceive how Romania individually distinguishes itself in the European context in terms of employment rate distribution by the degree of urbanization.  

Besides the relatively low figure of 68.8% (the Europe 2020 strategy requires for an employment rate of at least 75% at the EU level, but only set a target of 70%), we hold an atypical position of the intermediately populated areas, (small) cities and suburbs.

In developed Western countries (such as Germany, France, the Netherlands, Austria, etc.), this employment indicator is the highest in rural areas. In the Eastern EU, at our Bulgarian and Hungarian neighbours, as well as in the Baltic countries or Poland, rural areas register the lowest employment rate.

In contrast, although it has the highest employment rate in urban centres, Romania registers the lowest level Not in rural areas, but in the area with the intermediate density of cities and suburbs (the only countries that have this borderline distribution are not exactly like us, Ireland and Cyprus).

This is an important feature that we should consider in the development programs and for lowering differences between urban and rural areas.

Basically, there is a clear distinction in our case between large urban agglomerations and small towns or areas with a low urbanization degree. Which, despite the fact they do not qualify as rural areas, they are islands of under-employment, implicitly of poverty and underdevelopment.

How other EU states are

For reference, we mention that the highest employment rates in the 20-64 age group were registered in Sweden (81.8%), Germany (79.2%), Estonia (78.7%), the Czech Republic (78.5%), the United Kingdom (78.2%), the Netherlands (78%), Denmark (76.9%), Lithuania (76%) and Austria (75.4%) and these states are already above the target level for 2020, of 75%.

At the other end of the spectrum, we find Greece (57.8%, despite an increase of 1.6 percentage points last year), Italy (62.3%), Croatia (63.6%) and Spain (65.5%). The Balkan – Latin contrast with the North of the continent (which also includes three states in the former Eastern bloc) explains, at least partially, the chronic competitiveness gap.

On top by gender gap in employment

It is noteworthy, as another national specific, not detailed by degrees of urbanization (although it would be interesting) the gap of over 17 percentage points between employment rates in men and women, where we are among the countries with the highest levels in the field, the record being held by Malta (26.1 pp.), Italy (19.8 pp.) and Greece (19.7 pp.).

It is a fact that we are positioned, from this perspective, before Poland and Hungary and far before Bulgaria. A country that, surprisingly from this point of view, has, in terms of the gender gap in employment, a similar level to Germany and France. With the men category at a minimum distance from the EU average, but with the women category at more than six percentage points below the related average.

*

  • Employment rate of the population between 20-64 years (%) in some EU countries
  • Total    men     women                        difference
  • EU 28
  • Romania
  • Poland
  • Hungary
  • Bulgaria
  • France
  • Germany

*

If we were to overlap the two specific characteristics of Romania, the need for a significant increase in the number of jobs would result, as a national priority, especially for women population in small towns and suburbs.

Or, if you want, the former policy of the socialist era aimed at creating “complementary” enterprises for women in the new cities that emerged across the country following the urbanization policy.

Mergeți în homepage ›

Publicat la data de 24.9.2018

Lăsați un comentariu


NEWS

Commissioner Corina Cretu: There is a risk that Magurele Laser will not be completed during this budget implementation

In the absence of a rapid response from the Romanian Government to the European Commission, there is a risk that Magurele Laser can no longer… Mai mult

Romania joins countries that recognize Juan Guaidó as interim president of Venezuela

The Presidential Administration announced on Friday that President Klaus Iohannis, "as the head of Romania’s foreign policy decisions and Romania's representative at the external level,… Mai mult

AmCham Romania: Counterproductive public policies have reched an alarming level

Further to the message on the impact of OUG 114/2018 transmitted on Thursday to the organizations in the Coalition for Development of Romania (CDR), AmCham… Mai mult

Finance minister stopped borrowing money from the market. Teodorovici: We have funding resources for minimum six months

Minister of Public Finance (MFP), Eugen Orlando Teodorovici, has ordered to stop borrowing operations on the market because MFF would have all the money needed… Mai mult

BNR: If we sold foreign currency to defend Romanian leu, as PSD wants, interest rates would explode and ROBOR would go over 5-7 percentage points

The National Bank of Romania wants a "loyal cooperation" with the Ministry of Public Finance, and that involves a prior consultation with the central bank… Mai mult

Tax on bank assets was not included in 2019 draft budget

The tax on bank assets was not included in the 2019 draft budget, published on Thursday evening by the Ministry of Public Finance (MFP). According… Mai mult

Eruption on foreign exchange market: Mechanism of spiralling depreciation. Euro - sudden surge to 4,759

The average euro exchange rate, calculated by the National Bank of Romania (BNR), suddenly climbed sharply to a new record level of 4.7569 RON /… Mai mult

ANAF starts controls at large taxpayers. Mission stated: Combating phenomenon of externalisation of profits

The National Agency for Fiscal Administration has publicly announced the start of the "Iceberg" operation - a large fiscal control action targeting big companies operating… Mai mult

It becomes increasingly harder for the state to borrow: Finance Ministry has attracted only a quarter of targeted 400 million

The Ministry of Finance (MFP) has only managed to sell five-year government bonds amounted to RON 110 million out of the RON 400 million issued… Mai mult

"Perfect storm" that "calls for a crisis": Bankers - about "greed ordinance"

The most important bankers in Romania say that the effects of the tax on greed will be very serious and difficult to repair over time.… Mai mult

Increasing energy price - miners' strike brings imports up to 16% of consumption

  Rovinari power plant, part of Complex Energetic Oltenia, closed one of its energy groups on Wednesday night because of the lack of coal, as… Mai mult

A flow of initiatives against compensatory appeal: 188 of detainees released committed robberies, rapes, crimes

USR will file on Monday a bill on repealing the compensation appeals law, based on which thousands of detainees were released from prison before completing… Mai mult

Mugur Isarescu: "Ordinance weird thing" reduces monetary policy efficiency, which will not help Government

The National Bank of Romania (BNR) will convoke the National Committee for Macro-prudential Supervision, where the Ministry of Finance will be required to clarify the… Mai mult

World Bank lowered prospects on Romania's economic growth for 2019 and 2020

  Romania's economy will record an advance of 3.5% in 2019 and 3.1% in 2020, down one percentage point from June 2018 forecast, according to… Mai mult